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TN SB1074

TN SB1074
AN ACT to amend Tennessee Code Annotated, Title 4, relative to community benefits agreements.


summary

Introduced
02/05/2025
In Committee
Crossed Over
Passed
04/04/2025
Dead
Signed/Enacted/Adopted
04/04/2025

Introduced Session

114th General Assembly

Bill Summary

As enacted, prohibits an employer seeking to receive an economic development incentive from the state from entering into a community benefits agreement or similar legal contract if the agreement or contract imposes obligations or conditions on the employer regarding employment practices, benefits, or operations that are not directly related to the performance of the employer’s duties under the economic development incentive. - Amends TCA Title 4.

AI Summary

This bill amends Tennessee law to restrict employers from entering into community benefits agreements (CBAs) when seeking state economic development incentives. The bill defines a community benefits agreement as a contract between an employer and a community group or organization that could involve funding community services, establishing employment criteria, or requiring unionized workforce. Specifically, the bill prohibits employers from signing CBAs that impose obligations on employment practices, benefits, or operations that are not directly related to the performance of their economic development incentive duties. The new restrictions will apply to contracts, agreements, and understandings executed, renewed, or modified on or after July 1, 2025. The bill also provides definitions for terms like "community group" and "organization" to clarify the scope of these restrictions. By implementing these provisions, the legislation aims to limit the potential additional requirements that can be placed on employers receiving state economic development incentives, potentially reducing administrative burdens and providing more flexibility for businesses seeking state support.

Committee Categories

Business and Industry

Sponsors (2)

Last Action

Comp. became Pub. Ch. 151 (on 04/04/2025)

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